Fed Governor Proposes ‘Skinny’ Master Accounts to Improve Access and Financial Integration

Federal Reserve Governor Christopher Waller has proposed the creation of ‘Skinny’ Master Accounts, aimed at enhancing access for eligible institutions and potentially impacting crypto businesses. This initiative could benefit both market liquidity and stability by facilitating direct interaction with traditional financial systems. The proposal seeks to leverage existing payment systems and provide direct access to the Federal Reserve, fostering broader integration within financial markets. Waller’s focus on this proposal stems from a desire to bolster liquidity while avoiding direct funding allocations, leading to improved confidence in the crypto market.